Share-Based Compensation

9 Months Ended

Dec. 27, 2014

Disclosure of Compensation Related Costs, Share-based Payments [Abstract]

The Company recognizes expense related to the fair value of its share-based compensation awards using the Black-Scholes model to estimate the fair value of awards on the date of grant, except for unvested restricted stock unit awards (RSUs) which are valued at the fair value of the Company's stock on the date of award. The Company recognizes compensation expense for all share-based compensation awards on a straight-line basis over the requisite service period of the award.

Stock-settled stock appreciation rights (SARs) grant the right to receive shares of the Company's stock equivalent to the increase in stock value of a specified number of shares over a specified period of time, divided by the stock price at the time of exercise. The Company uses the Black-Scholes model to estimate the fair value of SARs. Similar to options, SARs are recorded at the fair value of the award at grant date and the expense is recognized on a straight-line basis over the requisite service period of the award.

The Company granted a total of 827,700 RSUs and 634,523 SARs during the first three quarters of 2015, but did not grant any stock options. The Company granted 621,000 RSUs and did not grant any SARs or stock options during the first three quarters of 2014.

Share-based compensation expense was included in the Company’s Condensed Consolidated Statements of Operations as follows:



	Fiscal quarter ended				Three fiscal quarters ended
(In thousands)	Dec 27, 2014		Dec 28, 2013		Dec 27, 2014		Dec 28, 2013
Cost of sales	$	154	$	184	$	474	$	558
Selling, service and administration	629		728		2,096		3,488
Research, development and engineering	256		350		832		1,084
Total share-based compensation expense	$	1,039	$	1,262	$	3,402	$	5,130

No share-based compensation costs were capitalized in the first three quarters of 2015. As of December 27, 2014, the Company had $6.8 million of total unrecognized share-based compensation costs, net of estimated forfeitures, which are expected to be recognized over a weighted average period of 2.1 years.

- Definition

The entire disclosure for compensation-related costs for equity-based compensation, which may include disclosure of policies, compensation plan details, allocation of equity compensation, incentive distributions, equity-based arrangements to obtain goods and services, deferred compensation arrangements, employee stock ownership plan details and employee stock purchase plan details.

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